The Dow Jones Industrial Average rose while other major stock indexes traded lower on Monday as Wall Street anticipated the Federal Reserve’s interest rate decision scheduled for Wednesday. Apple was an early notable loser, falling over 3% on reports indicating lackluster demand levels for its new iPhone 16 compared to those for the iPhone 15. Shares are forming a V-shaped cup with a handle, aiming for a 232.92 buy point.
This week, The stock market focuses on the Fed meeting, which kicks off on Tuesday and culminates in an interest rate decision on Wednesday afternoon. The central bank is set to announce its first rate cut since slashing its key rate to almost zero in March 2020 amid the Covid pandemic. The August U.S. retail sales report is due Tuesday, and companies such as Darden Restaurants and homebuilder Lennar are set to release earnings.
The Nasdaq composite had another solid session last Friday, rising nearly 0.7%, and ended last week above the 50-day moving average, indicating a bullish trend. The S&P 500 rose 0.5% and pulled further clear of its 50-day line. The Dow Jones Industrial Average gained 0.7% on Friday, closing near its all-time high.
Home Depot is breaking out past a 378.58 buy point among Dow Jones components.
Dow Jones rises ahead of Fed
Shares increased by 0.3% early Monday.
Retail giant Costco is above an 896.67 cup-base entry in the buy area, edging up Monday morning. DoorDash ended Friday just above a cup-with-handle’s 131.21 buy point, adding 1% early Monday. Apple, Nvidia, and Tesla remain focal points.
As of Friday, Nvidia held just above its 50-day line, although the stock declined 1.6% early Monday. Tesla fell 1.4% Monday morning, potentially ending a five-day rally streak. Shares of the electric vehicle leader are nearing a 235 early entry point.
Amazon shares reclaimed their 50-day line during last week’s rally but dropped 0.5% Monday morning. Microsoft shares are also back above their 50-day line and building a new base, rising 0.4% Monday morning. The stock market is sending a clear bullish signal with titans like Meta, Apple, and Tesla among dozens of buys, signaling a positive market outlook.
